Expedia: expedited buyback

It doesn’t take a genius to know that it makes most sense to buy stocks when they are cheap. But not every company seems to remember this basic rule of investing when buying back their own shares. Travel website Expedia’s plan to repurchase up to 42% of its outstanding common shares illustrates the point. Buybacks serve some useful purposes. By reducing its outstanding stock, a company can boost its earnings per share. Also, interest payments on debt are tax deductible, providing another fill...